Chapter 715 Investing 2 million to obtain the second largest shareholder
Investment? !
The couple looked at each other and were immediately ecstatic.
I am short of money to start a business, and someone comes to my doorstep!
"Mr. Fang, please wait a moment, I will get you my business plan." Bezos went to the garage immediately.
"No need to bother, just talk briefly." Fang Minghua said.
Bezos briefly talked about the original intention of creating the website and the commercial benefits contained therein.
"Mr. Fang, most bookstores in the United States have an annual inventory turnover rate of only 2.7 times, but my Amazon can do it 20 times! This can greatly improve the capital turnover rate. This data is not fabricated. , you can go to the Book Publishing Association to check it out!" Bezos finally added.
"No, I just bought a bookstore called Ashleypress in San Francisco. I have seen the publisher's past financial statements and the annual inventory turnover rate of the bookstore is only 1.5 times." Fang Minghua said with a smile.
“You bought a publishing house?!”
The couple looked at each other, each seeing the other's fear.
A rich man.
Bezos hurriedly continued, and Fang Minghua nodded frequently.
To be honest, the people Bezos mentioned as future generations of business innovations sound commonplace.
What about customer experience, focusing on long-term users to increase user stickiness, and price discounts? But this is the 1990s, the early stage of the Internet economy!
It has to be said that this bald guy who always smiles not only has good skills, but also has a forward-looking business vision.
After Bezos finished speaking, Fang Minghua asked: "Mr. Bezos, how much money did you say you planned to raise in total?"
"1 million U.S. dollars."
< br>"Oh, how much is your website worth now?" Fang Minghua asked again.
Bezos immediately looked at his wife MacKenzie - she is the website's accountant, responsible for finance.
"Mr. Fang." McKenzie didn't have the fanaticism of fans looking at the stars just now. She became calm and pondered for a while.
She hesitated.
McKenzie majored in finance. After valuation, she believed that the commercial value of the Amazon website founded by her husband and herself should be around 6 million.
But this data has scared away several investors - it's just a small website, and it has been losing money, but it is worth 6 million US dollars?
Are you crazy about money?
So she decided to be conservative and not scare away the rich man in front of her.
"Mr. Fang, according to our valuation, the Amazon website has a certain commercial value, and the valuation is around 4 million."
4 million
Fang Minghua slightly He pondered: "Well, Mr. Bezos, how about I invest 2 million and get 50% of your company's equity?"
Oops
That's too low!
The husband and wife looked at each other, each reading the meaning in the other's eyes.
Of course they are not willing to hold 50% of the shares, so the couple will lose their position as the largest shareholder of the website!
After bargaining between the two parties, Fang Minghua finally obtained 38% of Amazon.com's shares with an investment of US$2 million, becoming the second largest shareholder after the Besso couple.
The two parties immediately signed an investment contract, and Fang Minghua called Li Li and asked her to immediately transfer 2 million US dollars to her bank account on Amazon.com.
Both parties were delighted.
For this reason, the Bezoses specially hosted a banquet for Fang Minghua at home. MacKenzie cooked him a delicious steak and brought him a bottle of champagne to express his congratulations.
During the dinner, Bezos looked at Fang Minghua with a glass of wine: "Mr. Fang, I have a question."
"Oh, you said." "You are a writer and own a family There is no shortage of funds for a physical bookstore, so why not build an online bookstore by yourself, like Barnes & Noble?" Bezos asked his question.
Barnes & Noble is a bookstore with a long history, older than Amazon, Langdon and other book companies. It was founded in 1873 and was listed on the New York Stock Exchange in 1993.
What is different from book publishing companies such as Simon and Langdon is that Barnes & Noble has also created an online bookstore online - mainly selling books published by its own company, so Bezos asked again.
When her husband asked this question, Mackenzie also looked at Fang Minghua, and she also wanted to know the answer.
Fang Minghua played with the champagne glass in his hand and smiled slightly, and said: "It's very simple. The online bookstore opened by Barnes & Noble is just an extension of the traditional bookstore online. I am not interested in this business model. I look better. Amazon's model is the real Internet economy."
"And I am lazy and don't like trouble. Also, I am more optimistic about you, Mr. Bezos."
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"Thank you." Of course it's a pleasure to have investors optimistic about it.
“No more talking, just work hard, the website is ready to be listed.” Fang Minghua said at last.
"Don't worry, Mr. Fang, the listing issue is already in my plan, and I will provide you with a detailed listing plan soon."
"OK, let's have a drink." Fang Minghua Raise your glass.
The three glasses clinked together.
Fang Minghua did not stay in Seattle longer and took a flight back to San Francisco that night.
Li Li drove to the airport to pick him up.
On the way home, Fang Minghua told Li Li the detailed process of going west to invest in Amazon in Seattle.
Li Li was surprised when she heard this.
“On such a website, you can only get 38% of the shares for 2 million US dollars?”
"Haha, don't underestimate it. Lili, you can also invest. It's cheap now, but it will become more and more expensive in the future." Fang Minghua said half-jokingly and half-seriously.
"Okay, I'll listen to you. I'm not as wealthy as you, so I'll invest 200,000." Li Li said.
"Only 200,000? I'll give you some and try to become the third largest shareholder of the website." Fang Minghua said.
Li Li refused.
"No. I can't ask for your money. Your money will be of great use in the future. I can't spend it carelessly."
Investment is not spending money indiscriminately.
But seeing Li Li's determined look, Fang Minghua said no more.
As expected, just as Fang Minghua expected, one year later, Amazon was listed on Nasdaq. Before the listing, it received the largest investment, 8 million from KPCB, a well-known American investment company. US dollars, at this time Amazon's valuation had reached more than 60 million US dollars, but only 13% of Amazon's equity was exchanged.
Fang Minghua has finished all his things in the United States and is completely free. In addition to writing, he also goes out for a day.
I also went to San Francisco State University to meet Mr. and Mrs. Grant Haowen, the famous sinologists. It was Grantham who introduced Li Li to San Francisco when she came to teach.
Together with Li Li, he and some colleagues formed a team dedicated to translating outstanding contemporary Chinese literary works.
The time soon came to December 25th, today is Christmas, which is the most solemn festival in Western society.
Li Li has been on vacation. She got up early this morning and packed her luggage. She and Fang Minghua had already agreed to spend time in New York.
Of course, the most important thing is to go to Times Square and see the advertisements on the MiFi big screen that stands in the square.
(End of this chapter)